Question: Term Today 1 2% 2 3% 3 4% Based on the term structure above, according to the Expectations hypothesis, the market expects the 2 year

Term Today

1 2%

2 3%

3 4%

Based on the term structure above, according to the Expectations hypothesis, the market expects the 2 year rate in 1 year to be

3.00%
4.00%
4.01%
2.00%
6.03%
5.01%

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